Company Profile of MacDonalds

Type Industry
Founded Founders Headquaters

Public

Restaurant May 15, 1940 in San Bernardino, California Ray Kroc, McDonald's Corporation founder. Oak Brook, Illinois, U.S. 34,000+ worldwide

Number of locations Area served Products

Worldwide Fast food (hamburgers chicken french

The McDonald's Corporation is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald; in 1948 they reorganized their business as a hamburger stand using production line principles. Businessman Ray Kroc joined the company as a franchise agent in 1955. He subsequently purchased the chain from the McDonald brothers and oversaw its worldwide growth. A McDonald's restaurant is operated by either a franchisee, an affiliate, or the corporation itself. McDonald's Corporation revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants. In 2012, McDonald's Corporation had annual revenues of $27.5 billion, and profits of $5.5 billion. McDonald's primarily sells hamburgers, cheeseburgers, chicken, french fries, breakfast items, soft drinks, milkshakes, and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, fish, wraps, smoothies, and fruit. Celebrating over 15 years of leadership in food service retailing in India, McDonald's India now has a network of over 250 restaurants across the country. McDonald's India is a leader in the food retail space, with a presence of more than 250 restaurants serving more than 6.5 lakh customers daily in India. McDonald's opened its doors in India in October 1996. Ever since then, the family restaurants in Mumbai, Delhi, Pune, Ahmedabad, Vadodara, Ludhiana,Jaipur, Noida Faridabad, Doraha, Manesar and Gurgaon have proceeded to demonstrate, much to the delight of all the customers,what the McDonald's experience is all about.McDonalds in India is a 50-50 jointventure partnership between McDonalds Corporation [USA] and two Indian businessmen. Amit Jatias company Hardcastle Restaurants Pvt. Ltd. owns and operates McDonald's restaurants inWestern India. While Connaught Plaza Restaurants Pvt. Ltd headed by Vikram Bakshi owns and operates the Northern operations. Amit Jatia and VikramBakshi are likemindedvisionaries who share McDonald's complete commitment to Quality, Service,Cleanliness and Value (QSC&V). Having signed their joint-venture agreements with McDonald's in April 1995, they trained extensively, along with their Indian management team, in McDonald's restaurants in Indonesia and the U.S.A. before opening the first McDonalds restaurant in India.

CORPORATE OVERVIEW
Facts and figures
McDonald's restaurants are found in 119 countries and territories around the world and serve 58 million customers each day. McDonalds operates over 31,000 restaurants worldwide, employing more than 1.5 million people. The companies also operate other restaurant brands, such as Piles Caf. Focusing on its core brand, McDonald's began divesting itself of other chains it had acquired during the 1990s. The company owned a majority stake in Chipotle Mexican Grill until October 2006, when McDonald's full y divested from Chipotle through a stock exchange. Until December 2003, it also owned Donatos Pizza. On August 27, 2007, McDonald's sold Boston Market to Sun Capital Partners. Notabl y, McDonald's has increased shareholder dividends for 25 consecutive years, making it one of the S&P 500 Dividend Aristocrats.

Types of restaurants

Most standalone McDonald's restaurants offer both counter service and drivethrough service, with indoor and sometimes outdoor seating. Drive -Thru, AutoMac, Pay and Drive, or "McDrive" as it is known in many countries, often has separate stations for placing, paying for, and picking up orders, though the latter two steps are frequentl y c ombined; it was first introduced in Arizona in 1975, following the lead of other fast -food chains. The first such restaurant in Britain opened at Fallowfield, Manchester in 1986. In some countries, "McDrive" locations near highways offer no counter service or seating. In contrast, locations in high -densit y cit y neighbourhoods often omit drive-through service. There are also a few locations, located mostl y i n downtown districts that offer Walk -Thru service in place of Drive -Thru. To accommodate the current trend for high qualit y coffee and the popularit y of coffee shops in general, McDonald's introduced McCaf, a caf-st yle accompaniment to McDonald's restaurants in the st yle of Starbucks. McCaf is a concept created by McDonald's Australia, starting with Melbourne in 1993.

Business model
McDonald's Corporation earns revenue as an investor in properties, a franchiser of restaurants, and an operator of restaurants. Approximatel y 15% of McDonald's restaurants ar e owned and operated by McDonald's Corporation directl y. The remainder are operated by others through a variety of franchise agreements and joint ventures.

The McDonald's Corporation's business model is slightl y different from that of most other fast -food chains. In addition to ordinary franchise fees and marketing fees, which are calculated as a percentage of sales, McDonald's may also collect rent, which may also be calculated on the basis of sales. As a condition of many franchise agreements, which vary by contract, age, country, and location, the Corporation may own or lease the properties on which McDonald's franchises are located. In most, if not all cases, the franchisee does not own the location of its restaurants. The United Kingdom and Ireland business model is different tha n the U.S, in that fewer than 30% of restaurants are franchised, with the majorit y under the ownership of the company. McDonald's trains its franchisees and others at Hamburger Universit y in Oak Brook, Illinois. In other countries, McDonald's restaurants are ope rated by joint ventures of McDonald's Corporation and other, local entities or governments. As a matter of policy, McDonald's does not make direct sales of food or materials to franchisees, instead organizing the suppl y of food and materials to restaurants through approved third part y logistics operators.

HISTORY OF MACDONALDS
1955 1957 1959 1961 . 1963 1964 1965 1967 1968 1972 1974 1983

1984

1989 1990 1993 1994

1996

Quality, Service, Cleanliness and Value (QSC& V) becomes the company motto. The 100th McDonald's opens in Chicago. Hamburger University opens in Elk Grove, near Chicago One billion hamburgers sold. Ronald McDonald makes his debut. 1964 . Filet-O-Fish sandwich is introduced McDonald's Corporation goes public. The first restaurants outside of the USA open in Canada and Puerto Rico 1972 The Big Mac is introduced. The 1,000th restaurant opens in Des Plaines, Illinois. A new McDonald's restaurant opens every day. The Quarter Pounder is introduced. The first Ronald McDonald House opens in Philadelphia. The Happy Meal is launched. Chicken McNuggets is introduced. New Hamburger University campus opens in Oak Brook, Illinois.Set in 80 wooded acres. Training is provided for every level of McDonald's management worldwide. . 50 billionth hamburger sold. Ronald McDonald Children's Charities is founded in Ray Krocs memory to raise funds in support of child welfare McDonald's opens in Pushkin Square and Gorky Street, Moscow. McDonald's opens in Pushkin Square and Gorky Street, Moscow. The first McDonald's at sea opens aboard the Silja Europa, the world's largest ferry sailing between Stockholm and Helsinki Restaurants open in Bahrain, Bulgaria, Egypt, Kuwait, Latvia,Oman, New Caledonia, Trinidad and United Arab Emirates,bringing the total to over 15,000 in 79 countries on 6 continents McDonald's opens in India the 95th country

Swot Analysis of MacDonalds

Strenghths
Largest fast food market share in the world Brand recognition valued at $40 billion $2 billion advertising budget Locally adapted food menus Partnerships with best brands More than 80% of restaurants are owned by independent franchisees Children targeting

Weakness

Negative publicity Unhealthy food menu Mac Job and high employee turnover Low differentiation

Opportunities
.Increasing demand for healthier food. Home meal delievery Full adaptation of its new products .Changing Customer habits and new customer groups

Threats
Saturated fast food markets in the developed economy Trend towards healthy eating Local fast food reastaurent chains Currency fluctuations Lawsuits against MacDonalds

MEALS OFFERED BY MACDONALDS

French Fries

MC Veggie

Mc Aloo Tikki

Float Coke

Pops